The number of convicted summonses for wage offences rose 34% over 2005, to 785 last year. Permanent Secretary for Economic Development & Labour Matthew Cheung says efforts will continue on all fronts to safeguard employees' rights and benefits.

Among the 785 convicted summonses cases, 69 were directors and responsible people of limited companies - far higher than the eight such cases in 2005.

Last year also saw 70 cases in which employers convicted of wage offences were ordered to pay back the outstanding wages to their employees through the court. This involved a sum of $3.8 million.

More placements

The Labour Department achieved 118,937 placements last year, a historic high, up 5% on 2005. The year also saw an all-time high of 479,942 vacancies from the private sector, up 12.7% on 2005. About 3,700 disabled job-seekers were registered during the year, with 2,493 placements achieved - a record high placement rate of 67.5%.

To combat illegal employment, the department mounted 189 joint operations with Police and the Immigration Department last year, 7.4% more than 2005. The operations resulted in the arrest of 502 illegal workers and 231 employers.

Less disputes

Sustained improvements in labour relations were seen last year, with 25,157 labour disputes and claims handled, down 4% over 2005 and the lowest level since 1998. About 71% of the labour disputes and claims were resolved. This was slightly up on 2005 and the highest successful conciliation rate since 1994.

Last year also saw a sustained fall in applications for the Protection of Wages on Insolvency Fund, with 7,532 applications received. This was down 24% from 2005 and a record low since 1996. The average time for processing applications and making payments was also shortened to 3.2 weeks, from 3.8 weeks in 2005.

Fund surplus

The fund recorded a surplus of $286.4 million for the financial year ending in March 2006, the second financial year with a surplus after seven consecutive years of deficits in the wake of the 1997 Asian financial crisis. At the end of 2006, the fund's accumulated surplus stood at $676.9 million.

Mr Cheung stressed the department had adopted a proactive and pragmatic approach to boost employment, safeguard employees' rights and benefits, and foster harmonious employer/employee relations,

"Looking ahead, the department will keep up its efforts on all fronts to provide quality service to the community," he added.